Losing more than 70% in a 401(k) plan

[ERD50]

Quote:

Originally Posted by Chuckanut Honestly, these stories are long on emotions, angst and "Oh, poor baby" comments, and very short on details on how he managed to snatch defeat from the jaws of victory (or at least the jaws of a tied game.)

Exactly how I feel. The OP has started about three threads recently, and they all strike me as being in this 'long on emotions, angst and "Oh, poor baby" comments' vein, and very short on details.

There's this one about someone 'losing' 70% of a 401K (or did he spend a good portion of it on an overseas vacation during a downturn?), there's another that is something about getting $80 in pension payments (does that include people just one year in?, what about other sources, pension, SS?), and then another that seems to be saying that if you weren't born into the top 1% in the USA, you are screwed, might as well just slit your wrists now, there's no hope for you and nothing you can do about it (how that for fighting angst with angst? ).

Is that how the OP views the USA? Hard to say, very little in the way of comment from him. Starting to remind me of a couple long-gone posters who kept starting angst-filled threads of links w/o comment (I think that led to the 'no blind links' rule/enforcement). Like we can't read the news?

I'm curious just what the OP has in mind with these threads.

-ERD50

[EvrClrx311]

+1

Quote:

Originally Posted by ERD50 I'm curious just what the OP has in mind with these threads.

1) Show and tell of news... "look what I found"
2) 5 Pages of comments...

(S)He's getting exactly what (s)he wants, which is discussion about the topic. IMO, some of this is good for the community, but doing it excessively while failing to comment or direct the thread discussion by explaining the relevance can 'muddy' the board.

[ERD50]

Quote:

Originally Posted by EvrClrx311 (S)He's getting exactly what (s)he wants, which is discussion about the topic. IMO, some of this is good for the community, but doing it excessively while failing to comment or direct the thread discussion by explaining the relevance can 'muddy' the board.

Yes, listening to other's comments can be fine, and it makes sense sometimes. But w/o comment from him, it's tough to say just what angle he is looking for, and what direction the responses should take.

Just too open-ended, IMO.

FWIW, it strikes me as just a lot of whining and hand-wringing. Really, just an attack on the 'haves', as the articles have little substance. Maybe I'm wrong, but w/o more background, that's what I see. Is there more?

-ERD50

[Chuckanut]

Quote:

Originally Posted by obgyn65 “We lost more than 70 percent,” he complained, even though a highly recommended investment firm was managing his 401(k). “They’re very risky.” "

I have no idea of what is going through the OP's mind and make no judgement about his/her motives.

But, I do find this last quote from the article interesting. What exactly is 'very risky'?? Is he referring to the financial products, the 401(k) structure itself, or the "highly recommended investment firm?'

Given that his losses exceeded the overall market downturn, I suspect the investment firm was the riskiest part of his investments. I would love to know what details the devil is hiding behind.

[MichaelB]

What were the reasons for the original thread? Looks to me like many other threads, some news, followed by discussion, relevant to financial independence and early retirement. As long as it is FIRE related, no other reason is needed, nor does it need to be stated. It is helpful.

What are the OP’s views?

Quote:

Originally Posted by obgyn65 I like the idea of a compulsory contribution to more rigid 410k plans, with restricted and much safer options than equities.

Quote:

Originally Posted by obgyn65 Not sure where you read in my post that I want to impose on everyone not to buy equities. For the record, I am not imposing or even wishing to give anyone the impression that they must do anything with their 401k plans.

Original posters are not obliged to moderate threads, we are all free to comment or move on. Looks like a fair amount of interest in the topic judging by the 80 responses so far.

[obgyn65]

I like to ask questions or raise topics of interest and then listen to what people have to say before making up my mind. I tend to be more reserved in real life than many, short on narrative and tend be more a "listener" than a "talker". Especially when it comes to finance or retirement planning - which are not my forte. In short, I enjoy reading people's views on this website more than telling people what I think. Not sure why this is an issue with you, ERD50.

Quote:

Originally Posted by ERD50 Exactly how I feel. The OP has started about three threads recently, and they all strike me as being in this 'long on emotions, angst and "Oh, poor baby" comments' vein, and very short on details. (...) Like we can't read the news? I'm curious just what the OP has in mind with these threads. -ERD50

[obgyn65]

Doing it "excessively" ? You are joking, right ? I have started 56 threads exactly since I joined this website two years ago. That's about two threads a month. Moving on....

Quote:

Originally Posted by EvrClrx311 +1 IMO, some of this is good for the community, but doing it excessively while failing to comment or direct the thread discussion by explaining the relevance can 'muddy' the board.

[obgyn65]

Thank you Michael for confirming. If some here don't like my posts, please feel free to put me on "ignore" - and done. I have more important things to worry about in life than this - like going back to Central America in a few weeks' time to save patients' and kids' lives. Of course, some here will prefer to use their own time for more petty things like criticizing others anonymously on websites. And that's fine I guess.

Quote:

Originally Posted by MichaelB Original posters are not obliged to moderate threads, we are all free to comment or move on. Looks like a fair amount of interest in the topic judging by the 80 responses so far.

[cute fuzzy bunny]

Quote:

Originally Posted by Mulligan Three of my best friends all in their 40s, don't have $5000, between the 3 of them

They're doing pretty well considering a homeless guy walking down the street with $5 in his pocket has a higher net worth than the majority of the working and middle classes.

[HFWR]

As with most topics, there's the "OMG, must do something" contingent, and the "WTF, get off my lawn" contingent...

Here's the HFWR plan:

1. Conspicuously state, in bold print, the expenses/loads of all fund choices;
2. Conspicuously state, in bold print and easily understood language, the "risk" level of each fund, such as the "stuff it in your mattress fund" or the "effing riskier than Vegas fund"...

We should, to some extent, encourage savings and investment, so citizens will have something in case of emergency or to someday retire on, and to provide capital for economic growth. Somehow I doubt excess savings will ever be a permanent problem in this country.

[obgyn65]

So what ? Are you from the thought police or something ? You rub me the wrong way and you will find me, Evrclrx311.

Quote:

Originally Posted by EvrClrx311 1) Show and tell of news... "look what I found" .

[eridanus]

Quote:

Originally Posted by obgyn65 Thank you Michael for confirming. If some here don't like my posts, please feel free to put me on "ignore" - and done. I have more important things to worry about in life than this - like going back to Central America in a few weeks' time to save patients' and kids' lives. Of course, some here will prefer to use their own time for more petty things like criticizing others anonymously on websites. And that's fine I guess.

Eh, don't worry about it. Some people just like to do "a lot of whining and hand-wringing" about ideas/threads that don't match their ideology.

From what I read in this thread, there's somewhat of a consensus that the opt-in strategy is good and it should be set to an age appropriate AA. That's what the US just started doing last year (2010?). This guy from the article didn't have that chance and, yeah, maybe he made some bad choices. Maybe he pushed it all into tech stocks in early 2000 or real estate in early 2008. Hey, I know I lost some in SCUTX (Scudder Technology - try and find that ticker now) in 2001.

In any case, it sucks for him but he gets enough from SS so he's OK. The real problem is when SS benefits start to get slashed (~2025?) and the 401k/market takes a nose dive.

It's ultimately about what kind of world we want to live in, knowing that not everyone is on the right side of the bell curve re: intelligence and assuming that not everyone is perfect, like people on this forum are.

[steelyman]

Quote:

Originally Posted by obgyn65 So what ? Are you from the thought police or something ? You rub me the wrong way and you will find me, Evrclrx311.

Holy tomato - that sounds like Charles Bronson, not an e-r.org member.

[Gumby]

Hey, let's listen to Bobby McFerrin, smile and relax. We're all friends here.

Bobby McFerrin - Don't worry Be happy - YouTube

[obgyn65]

If you read the entire thread you will see that I did not fire the first shot. I don't usually look out for fights, but I have no problem answering pretty heavily when being criticIzed for apparently no valid reason, as confirmed by MichaelB above. It's not my role to moderate threads and it's not ERD's place to tell others how much, how often, or how little they should post.

Quote:

Originally Posted by Gumby Hey, let's all listen to Bobby McFerrin, smile and relax. We're all friends here. Bobby McFerrin - Don't worry Be happy - YouTube

[Gumby]

This thread has run its course. Thank you to all who contributed.

Porky Pig Cartoon Ending "That's All Folks!" - YouTube